State taxes: Delaware

Delaware’s income tax covers 6 brackets, ranging from 2.2% to 6.6%. More on Delaware taxes can be found in the tabbed pages below.

Personal income tax

Delaware collects income taxes from its residents at the following rates.

No tax on the first $2,000.

2.2% on taxable income between $2,001 and $5,000.

3.9% on taxable income between $5,001 and $10,000.

4.8% on taxable income between $10,001 and $20,000.

5.2% on taxable income between $20,001 and $25,000.

5.55% on taxable income between $25,001 and $60,000.

6.6% on taxable income over $60,000.

Delaware residents must file Form 200-01, Individual Resident Tax Return, by April 30. When that date falls on a weekend or holiday, as it does this filing season, the due date is the next business day. That means Delaware’s 2015 returns are due this year on May 2.

Most Delaware taxpayers may electronically file personal income tax returns for the current tax year, as well as late returns for tax years 2012, 2013 and 2014.

Active firefighters, or members of fire company auxiliaries or rescue squads, can apply for a state tax credit up to $400 for the purchase of clothing, equipment, motor fuel and other items necessary to perform their duties. Credit details can be found in the Form 200-01 instructions.

Unless otherwise specified, the term “gross receipts” means the total receipts of a business, with no deductions for the cost of goods or property sold, labor costs, interest expenses, discounts paid, delivery costs, state or federal taxes or any other expenses.

Personal and real property taxes

Delaware does not assess a state-level tax on real or personal property.

Real estate is subject to county property taxes, school district property taxes, vocational school district taxes and, if located within an incorporated area, municipal property taxes.

Oct. 1 is the assessment date for all municipalities. All owners of personal property, other than registered motor vehicles, must file a declaration with the assessor on or before Nov. 1.

The variables differ for each geographical area, so contact the property tax office for your county with specific questions.

Delaware offers various property tax relief programs for residents 65 years of age and older, as well as property tax exemptions for residents with disabilities. All senior property tax credit applications must be filed by Sept. 1 and include proof of age (driver’s license or birth certificate) and separate applications for all qualified joint property owners.

Inheritance and estate taxes

Estate tax is imposed for decedents who died on or after July 1, 2009.

Due to the phaseout of the federal estate tax, no Delaware estate tax was imposed on individuals who died between Jan. 1, 2005, and June 30, 2009.

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